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CELESTICA INC (CLS.CA) Stock Fundamental Analysis

Canada - TSX:CLS - CA15101Q2071 - Common Stock

340.81 CAD
-9.1 (-2.6%)
Last: 9/17/2025, 7:00:00 PM
Fundamental Rating

7

Taking everything into account, CLS scores 7 out of 10 in our fundamental rating. CLS was compared to 13 industry peers in the Electronic Equipment, Instruments & Components industry. Both the health and profitability get an excellent rating, making CLS a very profitable company, without any liquidiy or solvency issues. CLS is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings would make CLS suitable for growth and quality investing!


Dividend Valuation Growth Profitability Health

8

1. Profitability

1.1 Basic Checks

CLS had positive earnings in the past year.
CLS had a positive operating cash flow in the past year.
In the past 5 years CLS has always been profitable.
In the past 5 years CLS always reported a positive cash flow from operatings.
CLS.CA Yearly Net Income VS EBIT VS OCF VS FCFCLS.CA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200M 400M

1.2 Ratios

The Return On Assets of CLS (8.63%) is better than 92.31% of its industry peers.
The Return On Equity of CLS (30.63%) is better than 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 19.07%, CLS belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for CLS is in line with the industry average of 9.52%.
The last Return On Invested Capital (19.07%) for CLS is above the 3 year average (11.43%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 8.63%
ROE 30.63%
ROIC 19.07%
ROA(3y)4.63%
ROA(5y)3.55%
ROE(3y)15.02%
ROE(5y)11.3%
ROIC(3y)11.43%
ROIC(5y)8.93%
CLS.CA Yearly ROA, ROE, ROICCLS.CA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5 10 15 20

1.3 Margins

With a decent Profit Margin value of 5.09%, CLS is doing good in the industry, outperforming 76.92% of the companies in the same industry.
CLS's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 6.56%, CLS belongs to the top of the industry, outperforming 84.62% of the companies in the same industry.
In the last couple of years the Operating Margin of CLS has grown nicely.
With a Gross Margin value of 11.36%, CLS is not doing good in the industry: 84.62% of the companies in the same industry are doing better.
CLS's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 6.56%
PM (TTM) 5.09%
GM 11.36%
OM growth 3Y24.27%
OM growth 5Y29.03%
PM growth 3Y34%
PM growth 5Y30.13%
GM growth 3Y8.03%
GM growth 5Y10.39%
CLS.CA Yearly Profit, Operating, Gross MarginsCLS.CA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2 4 6 8 10

7

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so CLS is creating value.
CLS has less shares outstanding than it did 1 year ago.
The number of shares outstanding for CLS has been reduced compared to 5 years ago.
The debt/assets ratio for CLS is higher compared to a year ago.
CLS.CA Yearly Shares OutstandingCLS.CA Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M
CLS.CA Yearly Total Debt VS Total AssetsCLS.CA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

2.2 Solvency

An Altman-Z score of 6.13 indicates that CLS is not in any danger for bankruptcy at the moment.
The Altman-Z score of CLS (6.13) is better than 61.54% of its industry peers.
The Debt to FCF ratio of CLS is 2.27, which is a good value as it means it would take CLS, 2.27 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of CLS (2.27) is better than 92.31% of its industry peers.
CLS has a Debt/Equity ratio of 0.48. This is a healthy value indicating a solid balance between debt and equity.
CLS's Debt to Equity ratio of 0.48 is on the low side compared to the rest of the industry. CLS is outperformed by 69.23% of its industry peers.
Even though the debt/equity ratio score it not favorable for CLS, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
Industry RankSector Rank
Debt/Equity 0.48
Debt/FCF 2.27
Altman-Z 6.13
ROIC/WACC2.18
WACC8.75%
CLS.CA Yearly LT Debt VS Equity VS FCFCLS.CA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M 1B 1.5B

2.3 Liquidity

CLS has a Current Ratio of 1.44. This is a normal value and indicates that CLS is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.44, CLS is not doing good in the industry: 69.23% of the companies in the same industry are doing better.
CLS has a Quick Ratio of 1.44. This is a bad value and indicates that CLS is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.86, CLS is doing worse than 61.54% of the companies in the same industry.
CLS does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.44
Quick Ratio 0.86
CLS.CA Yearly Current Assets VS Current LiabilitesCLS.CA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

8

3. Growth

3.1 Past

CLS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 49.06%, which is quite impressive.
The Earnings Per Share has been growing by 48.11% on average over the past years. This is a very strong growth
Looking at the last year, CLS shows a very strong growth in Revenue. The Revenue has grown by 20.52%.
Measured over the past years, CLS shows a quite strong growth in Revenue. The Revenue has been growing by 10.38% on average per year.
EPS 1Y (TTM)49.06%
EPS 3Y44.1%
EPS 5Y48.11%
EPS Q2Q%52.75%
Revenue 1Y (TTM)20.52%
Revenue growth 3Y19.63%
Revenue growth 5Y10.38%
Sales Q2Q%20.97%

3.2 Future

CLS is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 30.31% yearly.
Based on estimates for the next years, CLS will show a quite strong growth in Revenue. The Revenue will grow by 18.86% on average per year.
EPS Next Y41.57%
EPS Next 2Y29.94%
EPS Next 3Y26.3%
EPS Next 5Y30.31%
Revenue Next Year19.55%
Revenue Next 2Y18.38%
Revenue Next 3Y18.53%
Revenue Next 5Y18.86%

3.3 Evolution

Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
CLS.CA Yearly Revenue VS EstimatesCLS.CA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 5B 10B 15B
CLS.CA Yearly EPS VS EstimatesCLS.CA Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2 4 6 8 10

5

4. Valuation

4.1 Price/Earnings Ratio

The Price/Earnings ratio is 52.27, which means the current valuation is very expensive for CLS.
Based on the Price/Earnings ratio, CLS is valued cheaper than 84.62% of the companies in the same industry.
When comparing the Price/Earnings ratio of CLS to the average of the S&P500 Index (27.20), we can say CLS is valued expensively.
Based on the Price/Forward Earnings ratio of 37.44, the valuation of CLS can be described as expensive.
Based on the Price/Forward Earnings ratio, CLS is valued cheaper than 92.31% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 22.70. CLS is valued rather expensively when compared to this.
Industry RankSector Rank
PE 52.27
Fwd PE 37.44
CLS.CA Price Earnings VS Forward Price EarningsCLS.CA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

CLS's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. CLS is cheaper than 84.62% of the companies in the same industry.
CLS's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CLS is cheaper than 76.92% of the companies in the same industry.
Industry RankSector Rank
P/FCF 73.82
EV/EBITDA 33.91
CLS.CA Per share dataCLS.CA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80 100

4.3 Compensation for Growth

CLS's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
CLS has an outstanding profitability rating, which may justify a higher PE ratio.
CLS's earnings are expected to grow with 26.30% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.26
PEG (5Y)1.09
EPS Next 2Y29.94%
EPS Next 3Y26.3%

0

5. Dividend

5.1 Amount

No dividends for CLS!.
Industry RankSector Rank
Dividend Yield N/A

CELESTICA INC

TSX:CLS (9/17/2025, 7:00:00 PM)

340.81

-9.1 (-2.6%)

Chartmill FA Rating
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)07-28 2025-07-28/amc
Earnings (Next)10-21 2025-10-21/amc
Inst Owners76.87%
Inst Owner ChangeN/A
Ins Owners0.53%
Ins Owner ChangeN/A
Market Cap39.20B
Analysts82.5
Price Target224.6 (-34.1%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.18%
Min EPS beat(2)6.65%
Max EPS beat(2)11.71%
EPS beat(4)4
Avg EPS beat(4)7.71%
Min EPS beat(4)1.95%
Max EPS beat(4)11.71%
EPS beat(8)8
Avg EPS beat(8)9.8%
EPS beat(12)12
Avg EPS beat(12)9.35%
EPS beat(16)16
Avg EPS beat(16)9.16%
Revenue beat(2)2
Avg Revenue beat(2)4.95%
Min Revenue beat(2)2.5%
Max Revenue beat(2)7.4%
Revenue beat(4)3
Avg Revenue beat(4)2.89%
Min Revenue beat(4)-0.75%
Max Revenue beat(4)7.4%
Revenue beat(8)7
Avg Revenue beat(8)3.06%
Revenue beat(12)11
Avg Revenue beat(12)3.55%
Revenue beat(16)13
Avg Revenue beat(16)2.92%
PT rev (1m)0%
PT rev (3m)67.45%
EPS NQ rev (1m)0%
EPS NQ rev (3m)16.45%
EPS NY rev (1m)14.43%
EPS NY rev (3m)14.43%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)7.86%
Revenue NY rev (1m)5.11%
Revenue NY rev (3m)5.53%
Valuation
Industry RankSector Rank
PE 52.27
Fwd PE 37.44
P/S 2.69
P/FCF 73.82
P/OCF 51.93
P/B 16.21
P/tB 25.22
EV/EBITDA 33.91
EPS(TTM)6.52
EY1.91%
EPS(NY)9.1
Fwd EY2.67%
FCF(TTM)4.62
FCFY1.35%
OCF(TTM)6.56
OCFY1.93%
SpS126.59
BVpS21.02
TBVpS13.52
PEG (NY)1.26
PEG (5Y)1.09
Profitability
Industry RankSector Rank
ROA 8.63%
ROE 30.63%
ROCE 23.8%
ROIC 19.07%
ROICexc 21.37%
ROICexgc 28.15%
OM 6.56%
PM (TTM) 5.09%
GM 11.36%
FCFM 3.65%
ROA(3y)4.63%
ROA(5y)3.55%
ROE(3y)15.02%
ROE(5y)11.3%
ROIC(3y)11.43%
ROIC(5y)8.93%
ROICexc(3y)13.32%
ROICexc(5y)10.55%
ROICexgc(3y)18.44%
ROICexgc(5y)14.81%
ROCE(3y)14.26%
ROCE(5y)11.14%
ROICexcg growth 3Y31.4%
ROICexcg growth 5Y28.76%
ROICexc growth 3Y37.65%
ROICexc growth 5Y29.81%
OM growth 3Y24.27%
OM growth 5Y29.03%
PM growth 3Y34%
PM growth 5Y30.13%
GM growth 3Y8.03%
GM growth 5Y10.39%
F-Score7
Asset Turnover1.7
Health
Industry RankSector Rank
Debt/Equity 0.48
Debt/FCF 2.27
Debt/EBITDA 0.99
Cap/Depr 100.49%
Cap/Sales 1.54%
Interest Coverage 17.29
Cash Conversion 64.05%
Profit Quality 71.71%
Current Ratio 1.44
Quick Ratio 0.86
Altman-Z 6.13
F-Score7
WACC8.75%
ROIC/WACC2.18
Cap/Depr(3y)94.48%
Cap/Depr(5y)73.42%
Cap/Sales(3y)1.62%
Cap/Sales(5y)1.34%
Profit Quality(3y)94.3%
Profit Quality(5y)151.44%
High Growth Momentum
Growth
EPS 1Y (TTM)49.06%
EPS 3Y44.1%
EPS 5Y48.11%
EPS Q2Q%52.75%
EPS Next Y41.57%
EPS Next 2Y29.94%
EPS Next 3Y26.3%
EPS Next 5Y30.31%
Revenue 1Y (TTM)20.52%
Revenue growth 3Y19.63%
Revenue growth 5Y10.38%
Sales Q2Q%20.97%
Revenue Next Year19.55%
Revenue Next 2Y18.38%
Revenue Next 3Y18.53%
Revenue Next 5Y18.86%
EBIT growth 1Y40.43%
EBIT growth 3Y48.65%
EBIT growth 5Y42.42%
EBIT Next Year45.93%
EBIT Next 3Y22.4%
EBIT Next 5Y28.45%
FCF growth 1Y59.55%
FCF growth 3Y20.17%
FCF growth 5Y2.76%
OCF growth 1Y45.13%
OCF growth 3Y27.84%
OCF growth 5Y6.55%